Aqua-Pro Inc. produces submersible water pumps for ponds and cisterns. The unit sales for selected months of the year are as follows:

Unit Sales

April 207,000

May 253,000

June 230,000

July 276,000

Company policy requires that ending inventories for each month be 25% of next month's sales. However, at the beginning of April, due to greater sales in March than anticipated, the beginning inventory of water pumps is only 28,000.

This information has been collected in the Microsoft Excel Online file. Open the spreadsheet, perform the required analysis, and input your answers in the questions below.

Required:

Prepare a production budget for the second quarter of the year. Show the number of units that should be produced each month as well as for the quarter in total.

Aqua-pro Inc. Production Budget For the Second Quarter

april	May	June	Q2
Sales
Desired ending inventory
Total needs
Less: Beginning inventory
Units produced